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Driven by new hires and interest rates below 7%, real estate picks up after wave 2 | Pune News


Pune: Local and national real estate observers have found that home sales in the Pune area have reached or crossed pre-pandemic levels during the July-September period of this year, as well as in the first half of 2021 , with more sales in larger homes and launches of larger housing companies with open spaces.
One observer said the growth in the city’s housing market was mainly due to a mix of good hires in manufacturing and crucial IT and ITeS sectors. Another factor is the less than 7% interest rate on home loans offered by almost all banks and housing finance companies. This has prompted more people to enter the housing market, despite the absence of measures such as a two-step stamp duty cut announced last year.
“The sale of housing units priced below Rs70 lakh per unit was 69% in January-July 2019 compared to 63% in January-July 2021, indicating an increase in sales of larger housing units this year. Pune has witnessed large-scale project launches in January-July 2021, ”said a report commissioned by Credai Pune Metro on home sales and trends in the Pune and Pimpri-Chinchwad regions.
Knight Frank India, in his assessment of sales and launches for the July-September period, found that year-over-year sales had nearly doubled (94%) and that sales growth in an average quarter before the pandemic in 2019 was more than double. (117%). Launches increased by around 28% (year-on-year) in the city and surrounding areas, he added.
“Pune has been a home for several migrants from all over the country. Besides being an IT-driven city, it serves over 400 manufacturing plants in Chinchwad alone, ”said Rajani Sinha, National Research Director and Chief Economist, Knight Frank India.
JLL found that the city market has also grown sequentially. The Observer said rising vaccination rates were helping home sales recover from the shock at the height of the second wave of the pandemic in April and May. “Sales increased by around 67% over the July-September period over the April-June period. This indicates that market sentiment is improving from the previous year, ”said Samantak Das, chief economist of JLL India.